Great Elm Group, Inc. (GEG) AI Stock Analysis
GEG AI stock analysis summary
AI ResearchGreat Elm Group, Inc. (GEG) operates in durable medical equipment distribution and investment management services. In FY2026, revenue increased 70.2% to $27.8M, while net income was -$35.4M with an operating margin of -50.4%. The company ended FY2026 with $91.5M in cash and short-term investments, supporting a net cash position of $27.2M.
- Market cap
- $67.4M
- Revenue (TTM)
- $27.8M
- P/E
- — fwd 42.7x
- 1Y return
- -12.2% S&P 500 16.8%
- Avg. target
- $18.50 760.5% vs last close
Bull case
- Revenue increased 70.2% in FY2026 to reach $27.8M, backed by quarterly revenue growth of 88.3% as of June 30, 2026.
- The balance sheet maintains net cash of $27.2M, supported by $91.5M in cash and short-term investments and a current ratio of 12.89.
- Free cash flow turned positive at $11.9M in FY2026, improving from -$9.0M in FY2025.
Bear case
- The company reported net income of -$35.4M in FY2026 along with an operating margin of -50.4%.
- Longer-term revenue contraction is evident from a 5-year CAGR of -14.5% between FY2021 and FY2026.
- Great Elm Group recorded 0 EPS beats over the last four reported quarters.
What Great Elm does
Great Elm Group, Inc., based in Waltham, Massachusetts, operates in two primary sectors: durable medical equipment and investment management. Within durable medical equipment, the company distributes respiratory care products, including positive air pressure equipment, ventilators, oxygen supplies, and replacement parts, while also offering sleep studies and equipment rentals. In its investment management division, the company provides strategic asset management and financial advisory solutions. Established in 1994 as Great Elm Capital Group, Inc., the company rebranded as Great Elm Group, Inc. in December 2020 to align with its dual focus across healthcare and financial services.
Growth and profitability
Revenue has experienced wide swings in recent years, posting a 5-year CAGR of -14.5% from FY2021 to FY2026. Revenue fell to $4.5M in FY2022 before rising to $8.7M in FY2023 and $17.8M in FY2024, followed by an 8.5% decline to $16.3M in FY2025. In FY2026, revenue grew 70.2% to $27.8M, supported by quarterly revenue growth of 88.3% year-over-year for the period ended June 30, 2026. Net income dropped from $12.9M in FY2025 to -$35.4M in FY2026, generating an EPS of -$1.15. Margins remained negative in FY2026, with a gross margin of -22.9% and an operating margin of -50.4%.
Balance sheet and cash flow
As of June 30, 2026, Great Elm Group held $91.5M in cash and short-term investments alongside total debt of $64.4M, resulting in net cash of $27.2M. Total assets stood at $113.7M against shareholders' equity of $40.8M, reflecting a debt-to-equity ratio of 1.58 and a current ratio of 12.89. Both operating cash flow and free cash flow reached $11.9M in FY2026. The company utilized $6.8M for share buybacks during FY2026.
Valuation and performance
Great Elm Group trades at a forward P/E of 42.7x, compared to a median of 10.8x for its US-listed Financial Services peers. Its price-to-sales ratio of 2.3x sits below the peer median of 3.2x, while its EV/EBITDA of 1.0x compares to the peer median of 11.7x. The company has a market capitalization of $67.4M and an enterprise value of $36.9M. Over the past year, GEG generated a return of -12.2%, trailing the S&P 500 return of 16.8%. Over five years, the stock returned 1.9% versus 83.0% for the benchmark index.
What analysts expect
The mean analyst price target for Great Elm Group is $18.50, representing an implied premium of 760.5% over the last close of $2.15. For the next fiscal year, consensus estimates project EPS of $0.00 and revenue of $0. The company recorded 0 EPS beats over the trailing four quarters. Great Elm Group is scheduled to announce its next earnings report on November 11, 2026.
Key risks and what to watch
- Trailing twelve-month operating margin stands at -19.7%, highlighting continued core operational deficits.
- Total debt of $64.4M results in an elevated debt-to-equity ratio of 1.58 as of June 30, 2026.
- GEG returned -12.2% over the trailing year, underperforming the 16.8% return of the S&P 500.
- Consensus estimates project $0 in revenue and $0.00 in EPS for the next fiscal year, indicating limited operational predictability.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this GEG AI stock analysis
This page is an AI-written research summary of Great Elm Group, Inc. (GEG). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: GEG income statement, GEG balance sheet, GEG key metrics, GEG chart. See the GEG stock overview for the latest quote and news.
GEG AI stock analysis FAQ
What businesses does Great Elm Group operate?
Great Elm Group, Inc. operates in durable medical equipment distribution, offering respiratory products and medical rentals, and provides investment management and financial advisory services.
What were Great Elm Group's financial results in FY2026?
In FY2026, revenue increased 70.2% to $27.8M, while net income was -$35.4M, resulting in a diluted EPS of -$1.15.
Does Great Elm Group have net cash on its balance sheet?
As of June 30, 2026, the company held $91.5M in cash and short-term investments and $64.4M in total debt, giving it a net cash position of $27.2M.
What is the consensus analyst target for GEG stock?
The mean analyst price target is $18.50, which is 760.5% above the closing price of $2.15 on October 16, 2026.
When is Great Elm Group's next earnings date?
The company's next earnings report is scheduled for November 11, 2026.